In the aftermath of the groundbreaking approval of Ethereum exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC), analysts at Standard Chartered Bank are predicting potential approval for Solana (SOL) and Ripple’s XRP for ETF offerings as early as 2025.

Geoffrey Kendrick, the head of forex and digital assets research at Standard Chartered, has articulated his belief that while the market anticipates further crypto ETF developments, approval for Solana and XRP ETFs is unlikely to materialize in 2024. Nonetheless, he anticipates growing investor interest in these assets regarding their upcoming ETF status.

The recent approval of Ethereum spot ETFs by the SEC signifies the agency's non-classification of Ether as a security, an assessment with significant implications for cryptocurrencies sharing akin core technologies. Kendrick emphasized the challenge for the SEC to categorize these as securities given their close technological resemblance to ETH.

Regulatory Clarity and Future Trends

The regulatory certainty surrounding Ethereum has reignited discussions on the possibility of other altcoins following suit. The Birb Nest analysts highlighted the rising narrative around a potential Solana ETF, indicating a probable shift in this direction.

Kendrick termed the SEC’s approval of Ethereum ETFs as a 'pivotal moment,' showcasing the mounting political support for cryptocurrencies in the U.S. He stressed the key query on the timing of further regulatory adjustments that will enable wider acceptance and incorporation of crypto assets into mainstream financial products.

Institutional Interest and Implications

The approval of spot ETFs for Bitcoin and Ethereum has already fueled notable institutional interest in the digital asset sector. With the prospects of Solana and XRP ETFs approaching, analysts foresee a surge in demand from institutional investors seeking exposure to these assets via regulated investment platforms.

While the approval timeline remains uncertain, the crypto community eagerly anticipates advancements in the ETF landscape, with regulatory clarity and institutional adoption shaping the future trajectory of the digital asset industry.